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Former Member

EC Localization - Withholding tax (Special taxpayer)

Hi SAP Experts

One of my company code's are from EC Ecuador and has a specific tax localization requirement that we need to cover after November 3rd. 2015

It seems our company code it is qualified as a "special tax payer" (on spanish it is Contribuyente Especial)

according to NAC-DGERSGE15-00000745-K resolution from SRI (Ecuador's Tax Office).

According with this boletin, all good and service purchasing and building contracts applys a specific withholding tax (retención de impuestos) for 10%, 20% and 30% respectively from the valued added tax amount (IVA - Impuesto al Valor Agreegado).

We are planning to use the standard "extendend withholding tax" solution from SAP to create the specific withholding tax type / tax code for each tax rate.

And then assigned to the vendor master data.

I would like to know whether it is the correct approach, or there a "specific" EC localization that we also need to cover to complete this challenge

Many thanks for your help

Best Regards

Fernando Luna

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1 Answer

  • Oct 30, 2015 at 06:18 AM

    HI Fernando Luna,

    could you please provide me legal change documentation and Act no ? or web link for further

    details. Thankyou.

    Regards

    Madhu M

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    • Former Member

      Hi Madhu,

      Here what I found, unfortunately on Spanish.

      Contribuyentes Especiales - Servicio de Rentas Internas del Ecuador

      Let me check how can I translate this requirement internally.

      I found more "surprises" today:

      For Ecuador, a "Comprobante de Retención" (withholding document) it is need to be "attached" on the accounting documents, however I cannot find more information about it.

      I cannot be find whether it enough to have the "comprobante de retención" number on the FI document.

      I think is a unique Tax Document number that is expired to the Ecuatorian National Tax office, but cannot find more information regarding this input data (called it SRI).

      Perhaps we need to enter data to the MIRO transaction and then get it from the Invoice Document (inherit from the Logistic Invoice and then extracted from the Accounting Document).

      It seem simple, but SAP design have several problems with Logistic Invoice vs. Accounting Document Information.

      For example you cannot modify the logistic invoice once a subsequent document has been posted, therefor the only option is to change the FI document.

      Also I cannot identify whether a FI document can have two or more "Comprobante de Retención", therefor the scenario could be more complex.

      Other issue I found for this country, is that a "Withholding Code Catalogue exist", so may a custom table is required to "translate" the SAP withholding tax codes against the "official tax codes". I think this will be an important note for reporting purposes (is a three digits code).

      I still cannot find any SAP documentation regarding for Ecuador country localization.

      Best Regards